The Following Information Relates to RAM Corporation What Is RAM's Receivables Collection Period (DSO)? in Your Computations

Multiple Choice

The following information relates to RAM Corporation:

$\begin{array} { l c } \text { Accounts receivable } & \$ 160,000 \\\text { Total credit sales } & \$ 2,500,000 \\\text { Accounts payable } & \$ 220,000\end{array}$

What is RAM's receivables collection period (DSO) ? In your computations, assume there are 360 days in a year. 

A) 23.04 days
B) 21.56 days
C) 15.62 days
D) 22.50 days
E) 160.00 days